Cemtrex, Inc. (NASDAQ:CETX) Files An 8-K Other Events
Item 8.01 Other Events
As previously disclosed, on March 22, 2019, the Company entered into a Securities Purchase Agreement (the SPA) with an unaffiliated institutional investor (the Investor), to which the Company issued to the Investor 2,100 shares of Series B Redeemable Convertible Preferred Stock, stated value $500 per share (the Preferred Stock).
On April 22, 2019, the Company had submitted an application to commence arbitration proceedings with JAMS International (the Arbitration) to a mandatory arbitration clause contained in the SPA between the Company and Investor. The Company commenced the Arbitration to challenge the inaccurate conversion notices sent to the Company by the Investor under the SPA.
On April 23, 2019 the Company filed a petition for a temporary restraining order and preliminary injunction in aid of arbitration in the United States District Court for the Southern District of New York (the Court) against the Investor and the Companys transfer agent, as a necessary party to the proceedings.
On April 24, 2019, the Court issued a temporary restraining order and ordered the Investor to appear on April 30, 2019 to show cause why an order for a preliminary injunction should not be issued preventing the conversion notices. The Companys transfer agent complied with the court order and did not issue any conversion shares to the Investor.
About Cemtrex, Inc. (NASDAQ:CETX)
Cemtrex, Inc. is a diversified industrial and manufacturing company. The Company operates in a range of business segments and provides solutions to manufacturing industries. The Company provides electronic manufacturing services of electronic system assemblies, instruments and emission monitors for industrial processes, and industrial air filtration and environmental control systems. The Company, through its Electronics Manufacturing Services group, provides end-to-end electronic manufacturing services, which include product design and sustaining engineering services, systems integration, testing services and assembled electronic products. The Company, through its Environmental Products and Systems group, sells air filtration and environmental control products to a range of industrial and manufacturing industries. The Company, under the Griffin Filters brand, provides an air filtration and environmental control equipment to various industries.